Despite rising gas prices, President Trump’s administration is moving to roll back federal fuel economy rules that could make new cars less fuel-efficient but offer a lower sticker price.
The U.S. Department of Transportation said in a Sept. 28 press release that it is moving to lower the required fleetwide average fuel economy for cars, from more than 50 miles per gallon by 2031 to just under 35 miles per gallon.
The fuel economy rollback, dubbed “Freedom Means Affordable Cars” by the Trump administration, comes as the average U.S. gas price reached $4.47 on Monday, Sept. 28, according to AAA. That’s up from $4.08 one month earlier and $3.13 a year earlier.
Trump administration officials said lowering fuel economy requirements would make cars cheaper in the long run by an average of about $1,300.
“Thanks to President Trump’s leadership, we have finally ended the illegal mandate that forced automakers to produce more expensive electric vehicles that American families didn’t want,” U.S. Transportation Secretary Sean Duffy said, blaming the higher fuel economy rules on former President Joe Biden’s administration.
“With our commonsense standards in place, we are making the American dream affordable again, putting safer cars on the road, and investing in the American autoworker,” Duffy continued.
The USA TODAY Cars team examined what the proposed fuel economy rollback could mean for car shoppers and how industry observers and environmental groups are responding.
What Lower Fuel Economy Rules Could Mean for Car Buyers
The Transportation Department said the plan would “give automakers the flexibility to manufacture cars the public wants to buy” and “save the American people $138 billion over the next five years,” in addition to the projected sticker-price savings.
Last month, the average price of a new vehicle in the U.S. neared a record $50,000.
The agency also said that making cars cheaper could lead Americans to buy newer models with more safety features, reducing crashes and fatalities on U.S. roads.
“This rule restores integrity to the national fuel economy program, balancing vehicle affordability and energy conservation goals while improving safety on our roadways,” NHTSA Administrator Jonathan Morrison said.
“Newer cars are safer cars,” Morrison continued. “By reducing vehicle prices, more American families will be able to afford newer vehicles, and sensible standards allow automakers more freedom to design and produce vehicles consumers actually want.”
Critics Say Drivers Could Pay More at the Pump
Critics of the administration’s proposal say weaker fuel economy rules would make cars less efficient and worsen air quality.
Sierra Club Clean Transportation for All Director Katherine García said the rollback comes as “families already cannot afford the basics, and now Donald Trump wants to make driving more expensive too.”
“Less fuel-efficient cars mean more gas burned, spending more at the pump, and dirtier air in our communities,” she said.
Kathy Harris, director for clean vehicles at the Natural Resources Defense Council, said that with gasoline above $4 a gallon, the administration would “force them to pay more at the pump.”
“Oil companies will get a windfall from gutting the fuel economy standards, but the rest of us are going to be handing over more of our hard-earned paychecks to fill up the tank,” she said.
The Alliance for Automotive Innovation, which lobbies for most major automakers, said it was “still reviewing the final rule” but believed NHTSA made the right call to align fuel economy standards with the law and current market conditions.
“The standards finalized under the previous administration effectively required a switchover to electric vehicles that was out of step with market realities and customer demand,” the group’s president and CEO, John Bozzella, said. “Today’s final rule is an appropriate course correction.”
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